Read all of this information first before you start the case to get an overview and understanding of the case. Go to www.irs gov and search/save the following forms OR use the forms provided in the Tax Cases folder in Blackboard, and must have 2021 forms: Form 1065 (2021) (5 pages) Schedule K-1 (Form 1065) (2021you'll need two, there are 2 partners, do not need the instructions pages) Form 4562 (2021) (Page 1 only required for this case) on January , 2021, LLC Members Karma Kettle and konnor Kingston form the K&K LLC to develop unimproved reall estate and sell the improved lots LLC Information: 2021 will be their initial Form 1065 filing (check initial return on top of page 1) Federal ID #34-1234562 Address for the LLC 555 Joy Road, City, OH 44444 Boxes A & B business code # is 237210, principal business activity is Development, and principal product or service is Real Estate. This is the initial return, accrual basis partnership Karma and Kettle are equal partners in all aspects of the partnership, 50% each. These are the only TWO partners Line top of page 1) Also, be sure you have completed Boxes D, E and F on top of page 11 And be sure NOT to fill in the dates on the very top, this is a calendar year 2021 tax return The partnership develops real estate, so they purchased undeveloped properties for $500.000 which inventory to the partnership. There are 20 lots to be developed and sold. Here is a recap of the cost of the lots (inventoryla Initial purchase price in 2021: $500,000 Land development costs, paid 2021: 35,000 Additional development costs to be paid in 2022, expensed in 2021. In A/P 12/31/21 42.000 Total land (inventory cost 20 lots total: $577,000 Less Ending Inventory Form 1125 A not required, and Sch L Bal Sheet):318,000 Equals Cost of Goods Sold (line 2 of Form 1065): $259,000 Read all of this information first before you start the case to get an overview and understanding of the case. Go to www.irs gov and search/save the following forms OR use the forms provided in the Tax Cases folder in Blackboard, and must have 2021 forms: Form 1065 (2021) (5 pages) Schedule K-1 (Form 1065) (2021you'll need two, there are 2 partners, do not need the instructions pages) Form 4562 (2021) (Page 1 only required for this case) on January , 2021, LLC Members Karma Kettle and konnor Kingston form the K&K LLC to develop unimproved reall estate and sell the improved lots LLC Information: 2021 will be their initial Form 1065 filing (check initial return on top of page 1) Federal ID #34-1234562 Address for the LLC 555 Joy Road, City, OH 44444 Boxes A & B business code # is 237210, principal business activity is Development, and principal product or service is Real Estate. This is the initial return, accrual basis partnership Karma and Kettle are equal partners in all aspects of the partnership, 50% each. These are the only TWO partners Line top of page 1) Also, be sure you have completed Boxes D, E and F on top of page 11 And be sure NOT to fill in the dates on the very top, this is a calendar year 2021 tax return The partnership develops real estate, so they purchased undeveloped properties for $500.000 which inventory to the partnership. There are 20 lots to be developed and sold. Here is a recap of the cost of the lots (inventoryla Initial purchase price in 2021: $500,000 Land development costs, paid 2021: 35,000 Additional development costs to be paid in 2022, expensed in 2021. In A/P 12/31/21 42.000 Total land (inventory cost 20 lots total: $577,000 Less Ending Inventory Form 1125 A not required, and Sch L Bal Sheet):318,000 Equals Cost of Goods Sold (line 2 of Form 1065): $259,000